Alina Selyukh

And this bean has a harsher, more bitter taste. It's used a lot for instant coffee.

And this bean has a harsher, more bitter taste. It's used a lot for instant coffee.

You know, coffee markets are complicated, like all commodities. Many of the traders actually need the physical coffee, the bags of beans. But many traders are just financial speculators. They're trying to game the price change, you know, buy cheaper, sell higher. And everyone bets on how much they think beans will cost in the future.

You know, coffee markets are complicated, like all commodities. Many of the traders actually need the physical coffee, the bags of beans. But many traders are just financial speculators. They're trying to game the price change, you know, buy cheaper, sell higher. And everyone bets on how much they think beans will cost in the future.

You know, coffee markets are complicated, like all commodities. Many of the traders actually need the physical coffee, the bags of beans. But many traders are just financial speculators. They're trying to game the price change, you know, buy cheaper, sell higher. And everyone bets on how much they think beans will cost in the future.

And so when people think those beans won't grow or there won't be enough, those who need those beans scramble, speculators go nuts, and it all only spirals the price further, which is what's happened. And it doesn't help that this week one of the world's biggest coffee traders made a forecast that Arabica—coffee like I have here— could see supply decline by nearly a quarter in the next cycle.

And so when people think those beans won't grow or there won't be enough, those who need those beans scramble, speculators go nuts, and it all only spirals the price further, which is what's happened. And it doesn't help that this week one of the world's biggest coffee traders made a forecast that Arabica—coffee like I have here— could see supply decline by nearly a quarter in the next cycle.

And so when people think those beans won't grow or there won't be enough, those who need those beans scramble, speculators go nuts, and it all only spirals the price further, which is what's happened. And it doesn't help that this week one of the world's biggest coffee traders made a forecast that Arabica—coffee like I have here— could see supply decline by nearly a quarter in the next cycle.

So I'm sorry to say those prices have already been rising. If you shop at the supermarket, brands like Nescafe, Maxwell House, Folgers, Dunkin', they've all had waves of price increases. They've cited higher cost of the green raw coffee. At your local coffee shop, it really depends. Depends on how they source their products.

So I'm sorry to say those prices have already been rising. If you shop at the supermarket, brands like Nescafe, Maxwell House, Folgers, Dunkin', they've all had waves of price increases. They've cited higher cost of the green raw coffee. At your local coffee shop, it really depends. Depends on how they source their products.

So I'm sorry to say those prices have already been rising. If you shop at the supermarket, brands like Nescafe, Maxwell House, Folgers, Dunkin', they've all had waves of price increases. They've cited higher cost of the green raw coffee. At your local coffee shop, it really depends. Depends on how they source their products.

But yes, likely they're feeling the pressure to raise prices and they're just trying to assess how to do that without scaring away shoppers. But fact of the matter is, as a world, we are drinking more and more and more coffee. So demand has not waned so far. People so far have been willing to pay those higher prices for their coffee habit. The markets will probably eventually calm down.

But yes, likely they're feeling the pressure to raise prices and they're just trying to assess how to do that without scaring away shoppers. But fact of the matter is, as a world, we are drinking more and more and more coffee. So demand has not waned so far. People so far have been willing to pay those higher prices for their coffee habit. The markets will probably eventually calm down.

But yes, likely they're feeling the pressure to raise prices and they're just trying to assess how to do that without scaring away shoppers. But fact of the matter is, as a world, we are drinking more and more and more coffee. So demand has not waned so far. People so far have been willing to pay those higher prices for their coffee habit. The markets will probably eventually calm down.

Importers I talked to pointed out historically adjusted for inflation. We've actually been paying pretty low prices for a pound of coffee. So maybe it's the days of cheap coffee that are over.

Importers I talked to pointed out historically adjusted for inflation. We've actually been paying pretty low prices for a pound of coffee. So maybe it's the days of cheap coffee that are over.

Importers I talked to pointed out historically adjusted for inflation. We've actually been paying pretty low prices for a pound of coffee. So maybe it's the days of cheap coffee that are over.

We're going to look for sales, right? We're going to look for sales and we're going to talk about how sales make us feel. All right, let's do it. Where are we going to go shopping?

We're going to look for sales, right? We're going to look for sales and we're going to talk about how sales make us feel. All right, let's do it. Where are we going to go shopping?

We're going to look for sales, right? We're going to look for sales and we're going to talk about how sales make us feel. All right, let's do it. Where are we going to go shopping?